To: Honorable Mayor and Members of Town Council
Through: David L. Corliss, Town Manager
From: Mark Marlowe, P.E., Director of Castle Rock Water
Matt Benak, P.E., Water Resources Manager
Heather Justus, P.G., Water Resources Project Manager
Title
Resolution Waiving Formal Written Bidding Requirement on the Basis of Sole Source and Approving a Construction Contract with Hydro Resources - Rocky Mountain, Inc., for the Bell Mountain Ranch Well A-3 Re-Drill [Located in Bell Mountain Ranch]
Body
________________________________________________________________________________
Executive Summary
The purpose of this memorandum is to request Town Council’s approval of a Resolution (Attachment A) approving a sole source (Exhibit 1) and construction contract agreement with Hydro Resources - Rocky Mountain Region, Inc. (Hydro) (Exhibit 2) for the construction, including drilling, completion, and testing for the re-drill of the Bell Mountain Ranch (BMR) Well A-3 located east of the Bell Mountain Ranch treatment plant. The location of the well site is shown in Attachment B. A separate contract will include the yard piping and other facility modifications as needed. BMR Well A-3 was constructed in the Arapahoe Aquifer and was originally completed in 2003. Due to extensive corrosion, the carbon steel casing is failing and the existing well infrastructure is no longer viable. The re-drill of Well A-3 will replace the lost capacity to BMR and expand future capacity for the Town upon completion of the future water system tie-in.
Since there are limited well drilling service contractors available in the area and a large amount of demand for their services, Castle Rock Water (CRW) staff met with Hydro, who is currently under contract for the East Plum Creek Open Space (EPCOS) Well drilling project, to determine if their schedule could accommodate the drilling of the BMR Well A-3R. The drilling project will commence upon Town Council approval. The construction of the drilling pad and mobilization to the site is planned directly after the completion of the EPCOS Wells. Through the bidding of previous drilling and rehabilitation projects, staff has determined that Hydro’s prices are competitive. Hydro has completed recent projects on budget and schedule. Staff recommends approving a construction contract agreement based on a qualified proposal from Hydro Resources - Rocky Mountain Region, Inc. in the amount of $2,687,445.00. In addition, CRW staff requests 10% Town managed contingency in the amount of $268,745.00 for a total authorization of $2,956,190. The Construction Agreement is included as Exhibit 2 to the Resolution. This re-drill of the BMR well was included in the 2023 budget as a line item of approximately $4M.
Staff Recommendation
Staff recommends Town Council’s approval of the construction agreement between the Town of Castle Rock and Hydro Resources - Rocky Mountain, Inc. for the drilling, completion, testing and equipping for the construction of BMR Well A-3R.
Proposed Motion
“I move to approve the Resolution as introduced by title.”
Alternative Motions
“I move to approve the resolution as introduced by title, with the following conditions: (list conditions).
“I move to continue this item to the Town Council meeting on _____ date to allow additional time to (list information needed).”
Attachments
Staff Report
Attachment A: Resolution
Exhibit 1: Sole Source
Exhibit 2: Contract
Attachment B: Map